Predictive Analytics Times
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4 years ago
Employee Churn 202: Good and Bad Churn

 Our prior article on this venue began outlining the business value for solving “the other churn” – employee attrition. We introduced the “quantitative scissors” with a simple model of employee costs, benefit, and breakeven points. The goal was to create a robust mental model for the cost of employee attrition. In this entry, we will extend that model to tease out the factors that underlie attrition cost. With this work we hope to streamline the first step of CRISP-DM, “Business Understanding.” By understanding the underlying structure, analysts can systematically attack the problem rather than engage in an open-ended fishing expedition.

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